Urban biowaste, which refers to the organic fraction of municipal solid waste (MSW), is a predominant type of waste in low- and middle-income countries. Therefore, the sustainable management of urban biowaste is a key problem in solid waste management (SWM). However, treatment technologies usually come with secondary pollution and by-products that need further treatment, which would limit the economic and environmental benefits of the waste management system. The concept of industrial ecology has the potential to be introduced into the waste management field to solve this problem. Based on a practical case study of a city in eastern China, this paper conducted a complete urban biowaste treatment system planning exercise using concepts in industrial ecology. The establishment of the new system has significant economic, environmental and social benefits. The total output value of the project would reach 342 million yuan in 2025, corresponding to 945,000 tons of solid wastes consumed every year, which would significantly reduce the environmental pollution caused by solid waste. More than 700 jobs could also be created. In addition, the establishment of an urban biowaste sustainable management system requires the joint effort of enterprise, government and the public, which in turn requires innovation in business models and management policies. Therefore, a special management committee should be established to promote collaboration among stakeholders, and an online platform that enables end-to-end process supervision covering the entire system, including emergency management mechanisms, needs to be established to ensure the long-term stable operation of various treatment facilities. The results of this paper show that synergies among technologies should be promoted to provide systemic benefit, and that the infrastructure for pollution control should be shared to ensure high utilization.